Fears of Less Fed Largesse Rattle Bonds, Not Stocks

Prospects of a tapered Fed push up global-government bonds but equity markets don't see the risk.

The notion that the Federal Reserve may pull away the punchbowl is rippling through bond markets around the globe. When those waves wash up upon the equity markets is another question.

Following a widely anticipated story in the Wall Street Journal that hit its website Friday evening -- after global markets had shut down for the week -- that the Fed was preparing its so-called exit strategy from its $1 trillion a year bond-buying program, the yield on the benchmark 10-year U.S. Treasury note yield rose to the highest level...